“New stats from the National Statistical Office show food prices jumped to 8.7% in April, up from March’s 8.52%. Looks like grocery bills are on the rise!”
Retail inflation eases in April 2024
“Guess what? India’s retail inflation dropped to its lowest point in 11 months, hitting 4.83% in April. That’s just a hair lower than the 4.85% in March. Looks like good news for shoppers!”
Great news! The inflation figure in India is right on target, staying within the Reserve Bank of India’s comfort zone of 2-6%. But here’s the catch: food prices shot up to 8.7% in April, climbing from 8.52% in March. Time to keep an eye on those grocery bills!
In April, the inflation rate went up a bit to 0.48 percent compared to before.
In India, veggie prices rose by 27.80% compared to last year, just a tad lower than March’s 28.30%. And check this out: staple foods like cereals and pulses saw inflation rates of 8.63% and 16.84%, respectively. Time to rethink those grocery lists!
Looks like meat and fish got a bit pricier, jumping to 8.17% from 6.36% last month. And guess what? Fruits followed suit, rising to 5.22% from 3.07% in March. But here’s a twist: veggies and pulses took a small dip in prices.
In April, the cost of fuel and light actually went down by -4.24 percent.According to the NSO, the yearly inflation rates for “Clothing & Footwear,” “Housing,” and “Fuel & Light” dropped compared to last month among the top five groups.
For clothing & footwear, the inflation rate was 2.85 percent, while for housing, it stood at 2.68 percent.
Akhil Mittal, Senior Fund Manager at Tata Asset Management, mentioned that the CPI came in at 4.83% year-on-year, meeting expectations. Everything seems pretty stable except for food prices, which shot up by 8.7%. It aligns with the RBI’s plans, so it might not shake up policies or markets too much.
Navigating Economic Challenges: What's Next for Policies
In its April 2024 meeting, the MPC kept its inflation forecast steady at 4.5% for the fiscal year, banking on normal monsoon conditions. But with a blistering summer, soaring crude oil prices, and ongoing concerns over supply chain hiccups from the Red Sea crisis, things are getting tricky. It’s a complex puzzle for inflation, needing close watch and maybe some proactive policy moves to steer through these economic twists and turns.
Retail Inflation: Navigating the Ups and Downs of Inflation
Even though inflation took a dip recently, there’s still a lot of uncertainty, especially when it comes to food prices. The rollercoaster ride of food prices keeps adding to the unpredictability of inflation. In February, food inflation surged to 7.8% following a dip in January.
On a different note, fuel prices have been going down for the sixth straight month in February. Also, the core Consumer Price Index (CPI), which doesn’t include food and fuel, showed disinflation, falling to 3.4% in February. It’s one of the lowest levels in the current CPI series, with both goods and services seeing a drop in inflation.
Checking Out Inflation in Different Goods
In the top five categories, retail inflation rates for things like clothes & shoes, housing, and fuel & light have actually dropped compared to last month. For example, clothing & footwear saw an inflation rate of 2.85%, while housing was at 2.68%.
Drops in Fuel and Light Prices
Unlike food prices, fuel and light costs actually went down by -4.24% in April, showing a drop in energy expenses.
Food Prices Still High
Despite retail inflation calming down overall, food prices kept climbing, hitting 8.7% in April, up from 8.52% in March, according to NSO data. Interestingly, India’s veggie prices dipped slightly to 27.80% year-on-year, but cereals and pulses stayed high at 8.63% and 16.84%, respectively—key parts of India’s diet.
Share this Article
Recent Posts
- Manu Bhaker Paris Olympics wins Bronze Medal for India
- Apple reduces prices on its various models: Cheaper by upto Rs 6000
- NEET UG Revised Results 2024 Out!
- Telangana TS ICET Results 2024 is Out: Direct Link to Know your Scores!
- Reliance Industries Platforms Gets Green Light to Launch Jio Satellite Internet in India